Department of Treasury does not care about the Sessions Memo, they specifically returned Tom Howard’s phone call – and countless others – to assure the public that its Financial Crimes Enforcement Network (“FinCEN”) guidance on the Cole Memo from 2014 is still good. This is despite the Cole Memo no longer being a thing because Jeff Sessions thinks he repealed it.
It’s so cute that Sessions thinks he has money to do anything about the “bad people” that use cannabis to enhance the quality of their lives. He doesn’t because Congress has tacitly legalized medical marijuana by defunding any enforcement of federal law against medical marijuana. Jeff Sessions did not even run his memo by Treasury to see if it would upset the 400 banks that currently provide services to medical marijuana businesses.
Here’s a quick take away from the Cannabis Industry Lawyer’s video below. There are 3 marijuana Suspicious Activity Reports (SARs).
The Marijuana Limited SAR has been filed over 30,000 times, which provides us with a decent estimate of how many marijuana businesses have bank accounts.
The Marijuana Priority SAR has been filed just less than 9,000 times, which provides us with a guess at how many of the marijuana businesses are being a little aggressive when it comes to the strictures of the state law.
Finally, the Marijuana Termination SAR has been filed less than 3,000 times, which means the bank kicked out the marijuana businesses as violating state law and therefore being too risky.
Alert: we do not know how many of this SAR resulted in federal prosecutions.….well, let’s save that for another post. You can subscribe to the Cannabis Industry Lawyer on YouTube right here.